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Workland to launch a EUR 1.5 million bond issue

Workland

December 4th, 2024

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Workland, a full-service office and coworking space operator, is launching a bond offering this week. It is Workland Group’s first bond issue, the company plans to borrow EUR 2.5 million in several tranches. The first tranche of EUR 1.5 million will be with a term of two years and with an annual interest rate of 10.5%. Further tranches are planned for the year 2025 according to the capital needs.

Workland Galleria Riga centre in Riga, Latvia
Workland Galleria Riga centre in Riga, Latvia

The minimum investment amount is EUR 1,000, which corresponds to the nominal value of one bond. The bond distribution period will begin on December 5th and end on December 13th, or earlier if all bonds are sold. The bonds will be distributed through the bonds platform “BeMyBond”.

Workland is the leading operator of full-service coworking spaces and fully serviced offices in the Baltic region. The first three Workland office centres were opened in 2016 in Vilnius, Riga and Tallinn. In 2023, The company entered the Finnish market by acquiring three competitor locations.

“In 2024, Workland grew by 30% – we offered the market over 900 fully equipped and serviced workplaces in three new locations in Vilnius, Riga and Tallinn. In order to continue to ensure growth in the market with the ever-increasing demand for flexible office space, and to refinance existing liabilities, we decided to use an innovative financing method, the BeMyBond investment in bonds platform, that makes investment accessible to individual investors – here we see a parallel with the activities carried out by Workland, which makes top-class CBD buildings and offices accessible to corporate companies, SMEs, startups or freelancers, be it for 1 person or 100,” says Indrek Hääl, the founder and CEO of Workland.

Indrek Hääl, the founder and CEO of Workland
Indrek Hääl, the founder and CEO of Workland

The bonds will be issued by one of the group's Lithuanian subsidiaries, UAB Workland Lithuania Didžioji, and the funds will be used for business needs at the group level. The funds raised during the bond issue will be used to refinance and consolidate existing loans and to finance further growth and operational needs.

The bonds are secured by the first-ranking pledge of all of the issuer’s (UAB Workland Lithuania Didžioji) assets/balance sheet and 100% of its shares. Additionally, warranties are provided by the Estonian holding company and the Lithuanian corporate entities that operate Workland’s fully serviced offices and coworking centres in Lithuania.

Workland Fahle centre in Tallinn, Estonia
Workland Fahle centre in Tallinn, Estonia

According to Indrek Haal, both the experience of Workland and global trends and forecasts show that flexible, fully serviced office rental and coworking spaces will occupy an increasingly large share of the workspace rental market. This is due to the risk-management solutions that Workland’s concept offers to businesses: short-term contracts, high quality of services, day-to-day maintenance, “all-inclusive” fixed bills. No less important and cherished at Workland is the business community, which allows members to grow a network of business contacts, which is especially appreciated by today's entrepreneurs, says Haal.

 „Workland is an innovative operator that offers an alternative office solution, and it has been successfully working in the Baltic market for almost ten years. It is a pleasure for BeMyBond to help another Baltic business aiming for international expansion. Meanwhile, for the retail investors, this bond issue offers an attractive yield with a balanced risk,“ says Indrė Dargytė, the CEO of the BeMybond platform.

Indrė Dargytė, the CEO of the BeMybond platform
Indrė Dargytė, the CEO of the BeMybond platform

The Workland Group operates over 31,000 sq. m of floor space and fosters a community of more than 3 500 business professionals working within its premises. In 2025, the Group's consolidated turnover is projected to reach EUR 13.03 million, with an EBITDA of EUR 0,95 million. Workland’s primary clients include companies from the financial technology, media, law, consulting, and creative industries, among others. Globally recognized brands such as Visa, Revolut, Danske Bank, Moody’s, BBC, Bloomberg, Uber, Booking.com, and many others have chosen Workland as their workspace.

Among the 18 locations in Lithuania, Latvia, Estonia and Finland the newest fully serviced office and coworking centres were opened in 2024: Workland Flow, located at Lvivo str. 21A, Vilnius, in the Flow office building, Workland Galleria Riga, located on the fifth floor of the Galleria Riga shopping centre in the city centre of Riga, and Workland Vektor, which opened its doors just a few days ago in the new Vektor complex in Tallinn.

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